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Report Finds Rising Out-of-Pocket Costs for Dermatology in Australia

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The Rising Cost of Dermatological Care in Australia

A new report by health directory Cleanbill, published on Sunday, reveals a significant increase in the cost of dermatological care in Australia between 2024 and 2025.

Based on data from 322 clinics, the average out-of-pocket cost for a first appointment rose by nearly A$18 to A$230, and a follow-up appointment rose by nearly A$20 to A$190.

Key Findings

  • Regional Impact: The increase was more pronounced in Western Australia, South Australia, and Tasmania.
  • Patients Forgoing Care: The report states that many patients are forgoing medically necessary dermatological care due to cost.
  • Widening Gap: Dr. Elizabeth Deveny, CEO of the Consumers Health Forum, commented that the gap between Medicare coverage and specialist charges has been widening.
  • First-Time Patient Disadvantage: Cleanbill CEO James Gillespie noted that first-time patients typically do not have access to lower fee arrangements that may be available to repeat patients.

Context: A System Under Strain

  • Workforce Limitations: The dermatology workforce in Australia includes under 700 specialist dermatologists and about 130 trainees, while demand is driven partly by high skin cancer rates.
  • Shift to Cosmetic Work: Some dermatologists are reportedly shifting to cosmetic work outside Medicare, reducing availability for essential treatment.
  • Training Bottleneck: Training positions are limited by government funding and capacity in public hospitals.
  • Broader Specialist Shortfall: Australian Bureau of Statistics data for 2024-2025 estimates that nearly 810,000 Australians over 15 did not see a specialist when needed due to cost.
  • Call for Action: The Australasian College of Dermatologists stated that Medicare rebates have not kept pace with practice costs, and called for sustainable Medicare funding and increased resourcing of public dermatology clinics.